Opposition Slams Coalition Over Handling of U.S Tariffs

Opposition MP Jone Usamate slammed the Coalition Government yesterday over its handling of new U.S tariffs, calling the 32 per cent levy on Fiji’s exports “disastrous” for the economy.

The criticism came after U.S President Donald Trump imposed the tariff as a reciprocal measure to Fiji’s 32 per cent tariff on American goods.

“The Coalition Government’s lack of foresight in crafting robust economic and trade policies has left Fiji exposed to global economic shifts,” Mr Usamate said.

The Ministry of Finance called the U.S decision “disproportionate and unfair,” noting that 96 per cent of U.S imports to Fiji attracts either zero duty or just five per cent.

Mr Usamate said shipping costs often exceed double the value of goods being transported from Fiji, adding further strain to exporters already facing new tariffs.

“This situation demands immediate action, and the Government has no answers at all,” he said.

The U.S is a significant trading partner for Fiji, accounting for about 10 per cent of total trade.

Fiji’s major exports to the U.S include mineral water, kava, fish products, sugar confectionery and wood artifacts.

Mr Usamate called for urgent diversification of trade partnerships and reduced dependency on traditional markets.

“We need to strengthen inter-regional trade agreements, such as the Pacific Island Countries Trade Agreement, and forge new partnerships with emerging markets beyond the Pacific,” he said.

The Ministry of Finance said it was “still trying to get more details on the exact rationale and application” of the new tariff and would work with stakeholders and U.S counterparts to address the issue.

“This is a Government of too much talk, too much self-congratulation, and no outcomes,” Mr Usamate said.

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